AO is a UK-based electrical retailer. Credit: Michael Kramer/commons.wikipedia.org.

UK-based sportswear and fashion retailer Frasers Group has acquired an 18.9% stake in online electrical goods retailer AO World.

Sky News reported that Frasers acquired the stake from London-based hedge fund Odey Asset Management.

Go deeper with GlobalData

Premium Insights

The gold standard of business intelligence.

Find out more

Related Company Profiles

View all

As part of the deal, Frasers bought 109,400,000 issued shares at a price of 68p, taking the deal value to £75m.

AO is headquartered in Bolton and is one of the UK’s largest online-only white goods and electrical retailers.

Frasers Group CEO Michael Murray said: “Frasers has long admired what John and the AO team have built and we are delighted to have the opportunity to form a supportive, strategic partnership.

See Also:

“AO is a fantastic business with a clear strategy which is leading the market in online-only electricals. Through this investment, Frasers will benefit from AO’s valuable know-how in electricals and two-man delivery, helping us to drive growth in our bulk equipment and homeware ranges. In turn, AO will have the opportunity to benefit from Frasers’ expertise and ecosystem.”

How well do you really know your competitors?

Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.

Company Profile – free sample

Thank you!

Your download email will arrive shortly

Not ready to buy yet? Download a free sample

We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form

By GlobalData
Visit our Privacy Policy for more information about our services, how we may use, process and share your personal data, including information of your rights in respect of your personal data and how you can unsubscribe from future marketing communications. Our services are intended for corporate subscribers and you warrant that the email address submitted is your corporate email address.

In a separate development, Frasers Group Asia signed a new joint venture agreement with PT. MAP Active Indonesia.

The agreement is part of Frasers Group’s region-wide expansion strategy and will introduce Sports Direct’s elevated stores across Indonesia.

Michael Murray added: “As part of our continued international expansion strategy and the success of our existing business in Malaysia, we are excited to grow our Southeast Asian footprint with a presence in Indonesia. Today’s announcement supports our vision to build the planet’s most admired and compelling brand ecosystem.”